| On February15,2006, China issued a new accounting standards system, including1basic standard and38enterprises accounting standards. The widely use of fair value measurement is the biggest and brightest spot in the new guidelines. As the fair value hasahigherrelevancethan the historical cost and canreveal the operating performance, financial status and risk management information of the listed companies more realistic, infavourof investor making economic decision. Butas a new measurement method, many problems still exist in the actual application process.The impact of the fair value on Chinese finance industry is generally a matter of concern. Relative to other industries, the listed financial companies have more financialassets,the application of fair value is more widely and deeply.The implementation of fair value measurement is pregnant witha great opportunities, but meanwhile has a uncertainty influence on financial security. The in-depth analysis on the impact of the fair value to financial enterprise and evaluation the economic consequences objectively has a certain practical significance to perfecting the accounting standards and maintaining financial security. This article tries to discuss the introduction of fair value measurement model will how to affect the cash dividend policy of financial companies on the emerging and transition background of China and the difference of impact under different regulatory environment, in order to have some enlightenment forenacting accounting standard and financial regulation.The paper is structured as follows:The first part is introduction, which tells five issues. The first issue introduces the research background of this paper. The second one tellsthe purpose and significance. The third one tells the the method in this paper. The fourth one tellsthe research content and framework.The last one is the contribution and shortcomings of the article. The main purpose of this chapter is to enable the reader to the thesis writing background and the overall framework The second part is literature review. Dividing into three parts include the fair value and company performance, company performance and the cash dividend policy, the fair value and the cash dividend policy. After the summary of the impact of the fair value to dividend policy literature, this paper found that the current domestic research on the impact of fair value to cash dividend policy literature is rareand the focus are concentrated on the non-financial sector andthe financial sector almost no involved.And the content of the research only stays in whether fair value has effect to cash dividend, there are no in-depth analysis on how to effect and whether exists influence degreedifferences under different system background. Further, through the analysis of the related literature of fair value and the dividend policy and the related theory, this paper found that fair value influences the cash dividend policy mainly through two ways:the first one is by influencing the accounting income effecting the cash dividend policy; the second one is through impacting the investor expectations of the company’sperformanceeffecting cash dividend policy. As a result of the limitation of time and space, this paper mainly research on the first way.The third part is the related theory of fair value and dividend distribution. This part mainly introduce the concept of fair value and using level, the relationship between fair value and other measurement attribute, fair value valuation method and relevant theories of dividend policy, explore the influence of fair value to cash dividend, build the research train of thought and put forward hypothesescombined with the second part of literature review.In this paper, there are three hypotheses:the first hypothesis research after the introduction of fair value measurement model of, the relationship between accounting earnings and cash dividend payment and the changes after accounting profit deducting changes in fair value gains and losses; The secondhypothesis research whether exists difference when the influence of fair value gains and losses to accounting earnings are different; The third hypothesisresearch whether exists difference between commercial Banks which are under stricter regulation and non-bank financial institutions.The fourth part is study design and the fifth part is the empirical results and analysis which are the main part of the paper. The fourth part mainly introduces the selection of relevant variables, sample selection, data source and the design of the model. this article selects pretax cash dividend per share as the independent variable, basic earnings per share, the basic earnings per share after deducting changes in fair value gains and losses and changes in fair value gains and losses per share as the dependent variable, enterprise debt paying ability, developing ability, company size and free cash flow as the control variable, the third model adds the large and small impact of the changes in fair value gains and losses to basic earning as virtual variables, the forth model addswhether belongs to the bank financial institutionsas virtual variable. This article selects financial listed companies in China from2007to2011as the research object and the annual report data released during this period of samplecompany, gets40samples of firms, a total of161samples excluding ST and SST company.The fifth part includes variables of descriptive statistics analysis, correlation analysis and panel data regression results analysis, etc.The sixth part tells conclusions, policy recommendations, study limitations and future prospects. Section one is the summary of this paper, the conclusions as follows:First, there is significantly positive correlation between the cash dividend payment of financial listed companiesand accounting earnings, the impact of accounting profit after deducting changes in fair value gains and losses to cash dividend is abate, explain ability is reduced. It shows that the enterprise does not discriminate between changes in fair value gains and losses and other accountingwhen paying cash dividend and the fair value measurement has affected the accounting earnings, in turn, affect the cash dividend payments. Second,the impact of the changes in fair value gains and lossesto cash dividend is lowerwhen the effect of change in fair value gains and losses to accounting earnings is bigger. Third,in different regulatory environment, the influence degree of the fair value to cash dividend policy is different. Relative to other financial institutions, the commercial Banks which face more strict regulation pay more cautious on cash dividend payments, the impact of changes in fair value gains and losses to cash dividend payment is low. Forth, from regression result of the control variables, this article found that debt paying ability, development ability, company size and free cash flow areimportant factors of cash dividend payment. Section two, this article put forward some relevant policy Suggestions about accounting standard setting, financial regulation and financial enterprise accounting personnel training based on the research conclusion. Section three,pointout theresearch limitations of this paper and the future further research areas.The introduction of fair value measurement model makes the connotation of the accounting earnings changed to some extent, there is no literature conducting in-depth research on this change will bring what influence to cash dividend distribution behavior of financial listed companycurrently. This paper center in the cash dividend distribution behavior changes offinancial listed company after the introduction of fair value measurement model, research the relationship between the fair value and cash dividend policy, trying to reveal thebehavior alienation and economic consequences causing by application of fair value accounting. Main innovations are as follows:First, theshifting of the focus of the study, although researchers have noticed that the fair value measurement will influence on the enterprise allocation behavior,allfocused on the non-financialindustry, rarely involvedin the financial industry; second, the deepening of the research content, from the previous studies,it can be found that scholars both at home and abroad for fair value accounting theory and empirical research is not answered thebehavioral changes in the capital markets after the introduction of the fair value measurement model, few studies only focused on the implementation of fair value accounting whether affect enterprise distribution behavior. This paper analyses how the fair valueaffect the cash dividend policy theoretically and tests empirically; third, the practical significance of research conclusions, the related index of financial regulation is built on the basis of accounting information, and the introduction of fair value measurement model in a certain extent changed the connotation of the accounting information, this paperfound thatthe dividend distribution behavior of commercial bank under strict regulatory is more sensitive to the application of fair value thanother financial institutions.it has certain reference significance to the regulators. |
PDF Full Text Request